The demand for plastic packaging has been in demand now more than it ever has in the previous years in Germany. Germany has seen growth in the plastics packaging industry in 2011 as they were able to increase production by 5 percent, and produced a record-breaking 4.3 million tons in 2011. These results were provide by the German company IK (ndustrievereinigung Kunststoffverpackungen e.v. )
Overall, 2011 saw the turnover rate increase by 9 percent. Reasons for this growth are due to an adaption of raw material prices, which have increased again in the past few years. One area where this is clearly demonstrated is in packaging films, the biggest sector in the plastics packaging industry. This area saw a turnover increase of nearly 15 percent as well as production growth of five percent. This takes into consideration that the raw material cost amounts to an average of 70 percent of the manufacturing costs in the film industry and the turnover growth was too low in relation to increased raw material prices. Aligning with this turnover growth, the profit situations for many companies were tense.
But, the industry is expecting to see positive growth continuing throughout this year. Steady growth in export business has been recorded despite a slow start in the beginning of 2012. IK managing director says the success of this years plastics packaging depends heavily on the development of material and energy prices. If these numbers increase, the margins will increase and there will be growth in turnover and production.
Source: Packaging Europe